ClearRisk: Heralding an Era of Modern Risk Management

CIO Vendor Craig Rowe, President & CEO St. John’s, a city located on Newfoundland island off Canada's Atlantic coast, has a total population of 126,000. Like many municipalities, St. John’s was experiencing multiple issues in managing its risk and insurance data. The municipality’s manual methodologies were unable to process the hundreds of thousands of claims that it received every year. As the number of claims started increasing, the city’s administrative body realized that it needs to implement a claims and risk management software to alleviate the burdens and create new efficiencies, while empowering the municipality to use data in a more meaningful way. In fact, most of the data was tracked in Excel spreadsheets and recorded in paper file folders. These setbacks led Craig Rowe, who was St. John’s risk manager back in the early 2000s, to design a tool that would not only store all data in an accessible, centralized, cloud-based system, but also create analytical reports, and relay claims and incident data to the right department. Turning these challenges into an opportunity, ClearRisk was born in 2006.

"Committed to assisting brokers and insurance buyers manage their risk round the clock, ClearRisk offers a smartphone app— Deductibles"

ClearRisk’s modus operandi involves streamlining the administrative tasks and processes in data collection and enabling focused efforts in analyzing risk, insurance, claims, and asset data. Further, the fully integrated, data-driven platform provides customizable workflows and interfaces that enhance organizational collaboration and reduces the frequency and severity of losses. The outcome? “We can decrease our client's insurance and claims cost by 40-55 percent,” informs Rowe, ClearRisk’s Founder, President and CEO. ClearRisk dramatically changed the way St. John’s received and interacted with data. Using ClearRisk’s cloud-based data submission portal, risk managers eliminated manual entry of a claim or incident. Moreover, by having the data centralized, the team could allocate insurance costs across departments more readily, which radically aided in creating awareness among department managers. “St. John’s risk managers were able to get a better grip on their data and achieve great results. Overall, this approach helped them to lower claims frequency and the total cost of claims,” asserts Rowe.

Today, ClearRisk works with over 150 organizations in both public and private sectors. ClearRisk’s team includes a mix of risk management experts and insurance specialists, along with technologically-savvy individuals who are motivated to provide best-in-breed risk and claims management software solutions.

A Comprehensive Claims Management System

Rowe notes that a properly implemented and utilized claims management system would usually start showing its return of investment soon after it is implemented, often within the initial contract period. “Therefore, when we go onboard with any organization, we ensure that they fully understand the premises of our offerings and use them to their utmost potential to reap maximum benefits,” he says. ClearRisk’s robust and automated claims management software gives organizations the knowledge and confidence to increase deductibles and retention limits. Once a company has an accurate and complete claims history of all losses—insured and uninsured—with the ability to summarize and report on them, the company will be able to determine its optimal deductible using ClearRisk’s claims management solution.

ClearRisk also facilitates insurance companies to assess and forecast trends, and report on them. Risk managers can sort claim activity by policy, a specific asset, department, employee, or geographic location. By identifying specific problem areas within an organization, managers and employees—at all levels—can be proactive about reducing the number of claims, thereby decreasing the amount of insurance premiums, deductible payments, and retained losses.

Managing Risks for Mid-Market Insurance Companies

The flagship offering of the company, ClearRisk Manager, aims to bring large-scale risk management solutions to mid-size companies. "Fortune 1000 companies have the same risks as medium-sized businesses; the only difference is scale," says Rowe. Most of the risk management solutions available in the market are exclusively for large companies with deep pockets. This is where ClearRisk intends to cement their uniqueness in the risk management realm. ClearRisk Manager allows mid-size companies to manage their risks in a way that gives them the same benefits as the large companies. “We level the playing field, helping these companies effectively compete with the leaders in their industry,” says Rowe.

With risk management plans, maps, tools and more, ClearRisk Manager brings structure and effectiveness to all risk management activities, lowering the cost of risk, increasing operational efficiency, and improving overall profitability. The affordable online risk management solution also helps mid-size companies to reduce the frequency and severity of accidents, generating more loyalty and satisfaction among new and existing customers. Companies that manage risk effectively decrease their uncertainty and increase corporate preparedness, resulting in a more competitive market position and increased shareholder value.

Providing the platform to build risk management plans and the tools with which to implement them, ClearRisk Manager is changing the way mid-market organizations address risk.

In the global financial arena as well, the landscape around financial reporting and accountability has changed significantly the years. Widespread adoption of International Financial Reporting Standards (IFRS) has standardized financial statement presentation and disclosure requirements across the world. Thus, today's more financially savvy breed of managers and directors are demanding pro-forma information that reaches beyond direct financial results and into the risk management realm. Risk managers and CFOs, in increasing numbers, are being required to present comprehensive reports on organizational risk and the potential impact on future profitability. ClearRisk is well-positioned to produce multitudes of reports to meet the reporting objectives of such risk managers and CFOs.

ClearRisk also helps in simplifying the insurance certificate management process. ClearRisk abridges the process by tracking all external parties in a single location, automating expiry email reminders, and enabling online submissions. Moreover, with easy-to-use dashboards that offer complete visibility into the certificate of insurance status, insurance managers can seamlessly track all the compliance needs and attend to the deficiencies faster.

An Innovative Smartphone App for Insurance Brokers

Committed to assisting brokers and insurance buyers manage their risk round the clock, ClearRisk offers a smartphone app—Deductibles. “I have needed a tool like this for years and it didn't exist, so we built it. We want to make it easier for brokers to help their clients and insurance buyers to manage their risk,” says Rowe. The application allows insurance brokers to easily calculate which combination of premium and deductible will give their clients the lowest cost of risk. This innovative technology supports insurance brokers to illustrate the best deductible premium option in a way clients can easily understand.

12 Years of Managing Risk

Last September, ClearRisk completed 12 glorious years in the risk management landscape. On the eve of this anniversary, Rowe said, “With the dedication and sweat of a lot of exceptional staff, the faith and help of investors, lenders, and advisors, and the support of hundreds of customers, things are going quite well at ClearRisk.” Striding ahead, ClearRisk is set to make risk management more accessible and easier to use by adding new features to its product suite. “These are exciting times for ClearRisk as insurtech has become one of the fastest growing tech sectors, and as cloud adoption and computing capabilities continue to rise rapidly, insurtech is poised to make more significant advancements. “We look forward to many more years of solving problems, managing and taking risk, and implementing valuable risk management tools in more companies. I’m glad we took the risk to do our small part to help manage risk,” he concludes.